The People Factor
Vol 2 Issue 4- Jul/Aug 2006

By Susan Bremner

The key component of any CRM process is the relationship itself, and implementing an effective CRM strategy begins and ends with the employees serving your customers, both directly and indirectly.

Regardless of the processes and technology in place, effective CRM is ultimately dependant upon having qualified and committed individuals to deliver it. The objective for organizations rests on attracting, training, motivating and retaining these employees.

WestJet is a prime example of this 'people approach; and has successfully used it to become the nation's second-largest airline. The company has long identified its corporate culture as a main driver of its success, with a significant impact on the experience guests have when travelling WestJet.

The company set out to create a people-based environment by establishing a corporate culture built around the organization's commitment to its workers. To achieve this vision of a truly customer-focused enterprise, WestJet implemented a corporate and customer service strategy that values employee empowerment, a casual and friendly work atmosphere, and an emphasis on training and compensation.

As part of this development, the company made a series of changes to the corporate vernacular. For example, the term 'employees' was replaced with the more team-oriented 'Westjetters'. Executive vice-president and co-founder Don Bell espoused, "The esprit de corps became one of respect with no delineation between management and the (staff)."

Corporate Philosophy
Even WestJet's organizational structure is indicative of its employee-first approach. Whereas other companies consider employees as resources to be managed by HR, WestJet looks beyond this traditional perspective. To WestJet, the airline's fleet of planes are its resources; its employees are seen and treated as individuals.

To put this philosophy into action, WestJet opted to forego an HR department and in its place established a People Management group. Within this team are a number of employee-focused sub-groups and job functions, including Talent Management and People Training & Development.

This value system was woven into and now permeates the entire organization, including how Westjetters interacts with customers. Rather than looking at passengers merely as a revenue stream, they are referred to and treated as 'valued guests'. Company policies were replaced with individual and organizational promises. WestJet also deviated from standard (and highly impersonal) industry terminology such as PAX for passenger and UM for unaccompanied minor.

WestJet's winning attitude and its success in delivering what they promise has not gone unnoticed in the business community either. In a study conducted by Waterstone Human Capital Ltd., in which more than 100 Canadian business executives were surveyed, WestJet was voted as the most admired corporate culture in the country in 2005. In the same year, the company was also named Canada's most respected corporation for customer service.

Richard Bartrem, director of brand and communications at WestJet avowed. "That culture comes from the organization overall, and that commitment (to serving the customer) comes from wanting to do right by the guest."

Incorporated into this corporate culture are numerous steps that WestJet has initiated to recognize and reward its people.

Incentives
The employee share purchase plan is just one of the components of WestJet's employee-focused initiatives. The plan allows Westjetters to buy up to 20 percent of their annual salary in company stock, with the company matching this amount dollar for dollar. Currently nearly 90 percent of Westjetters are shareholders.

The tremendous level of buy-in from employees speaks volumes of Westjetters' belief in and commitment to the company and its values. And this commitment shines through in how they treat customers--and in turn, how customers perceive the organization.

Training and Development
While rewards and recognition are important, numerous studies over the last decade have highlighted that workers are looking for more from their employer and workplace. Consistently at or near the top of the list is the availability of learning resources and educational opportunities where employees can better themselves both personally and professionally.

In 2003, WestJet captured the award for Commitment to Training and Customer Service at the celebrated Tourism Hamilton Awards of Excellence Gala. This category exemplifies a business, event or attraction that has demonstrated a commitment to employee training and career development, which contributed to strong customer service delivery resulting in a high level of customer satisfaction.

How far can an employee-focused commitment go in building and strengthening customer relationships? As WestJet has demonstrated, the sky's the limit.


 
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